United Parcel Service is rated 'sell' due to thin dividend coverage and rising input cost risks. UPS faces a high-debt, low-margin environment with FCF barely covering the $5.4B dividend, leaving little margin for error. Cost inflation—especially salaries and diesel—alongside upcoming debt refinancing at higher rates, threatens profitability and dividend sustainability.
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| Air Freight & Logistics Industry | Industrials Sector | Carol Tomé CEO | XHAN Exchange | US9113121068 ISIN |
| US Country | 460,000 Employees | 17 Aug 2026 Last Dividend | - Last Split | 10 Nov 1999 IPO Date |
United Parcel Service, Inc., commonly known as UPS, stands as a pivotal entity in the package delivery industry, offering a broad spectrum of transportation and delivery services. Established in 1907, UPS has grown to position itself as a global leader headquartered in Atlanta, Georgia. The company's operations are segmented into U.S. Domestic Package and International Package, through which it caters to a diverse clientele offering time-definite and day-definite delivery solutions across the United States and around the globe. UPS is not just limited to package delivery but extends its expertise into areas like distribution, logistics, freight forwarding, and insurance, showcasing its commitment to be a comprehensive logistics provider.
UPS's wide array of products and services is tailored to meet the needs of its global customer base, ensuring timely and efficient delivery and logistics solutions.